CMA CGM sets low-sulfur surcharge for China

CMA CGM says it will start imposing a low-sulfur surcharge for services calling Shanghai and Ningbo, China later this month.

A 0.50 percent sulfur limit on ship fuel fuel took effect on Oct. 1 at the two ports.

The French carrier said it will impose the surcharge “to ensure the sustainability and reliability of our services in a challenging environment.” The charge is effective for its services to and from Shanghai and Ningbo from Nov. 15 (the date of loading in the origin ports).

The fee will vary depending on what part of the world the services call but amount to $35 for 20-foot containers for service to and from Scandinavia and the Baltic area; $20 for 20-foot containers to and from other parts of North Europe, including the U.K.; $25 for 20-foot containers to and from North America; and $5 for 20-foot containers to and from other parts of the world. The fee is double for 40-foot containers.

For the other ports of the People’s Republic of China, the 0.50 percent sulfur limit will be applicable from Jan. 1. CMA CGM said it will have a separate announcement later.

Globally, container carriers will have to use fuel with a maximum sulfur content of 0.5 percent on Jan. 1, 2020, or equip their ships with scrubbers to remove sulfur from engine exhaust.

There already are rules requiring the use of even cleaner fuel in so-called emission control areas (ECAs) in the Baltic Sea, North Sea and the Caribbean and much of the coastline of the U.S. and Canada.